Final Thoughts

The announcement by General Motors today is going to be a precursor for more bad news, in my opinion. With every action there is a reaction, and the expectation that raising steel prices by an extra 25 percent (and more) would not have an impact on the competitiveness of U.S. made products is being short-sighted. The Section 301 tariffs may be even more damaging. I was watching a news broadcast this morning with the CEO of a footwear company who was saying the option to bring production back to the United States is not practical. Especially if the CEOs feel (as this one did) that the tariffs will be short-lived, lasting only as long as the Trump administration.

It is disappointing to see the erosion of company-supported communities. I can remember as a child living in an industrial town how the companies supported the workers and their families. Perhaps more importantly, companies understood they had a duty to the larger community. The push for higher profits, higher stock prices and bonuses has left the workers and their communities behind. The latest move by GM is just another example.